Home furnishings and interior solutions firm Danube Home intends to source more from India amid an enabling environment that it says is emerging in the country as well as on account of the cost benefits.
India’s share in the $250 million annual global sourcing by Danube is likely to increase from about 10% at present to 25-30% next year.
Sourcing from India meant comparatively lesser shipping time – 2-3 days as against 3-4 weeks from China – besides lower freight charges. While it costs $3,200 to ship a 40-feet container from China to Dubai, the charges are $1,200 from Mumbai to Dubai or 60% lower, he said. Making the move more attractive is the zero duty on the imports following the Comprehensive Economic Partnership Agreement between India and the United Arab Emirates (UAE).
“All these [factors] have encouraged us to increase sourcing from the Indian sub-continent. We have [set up] a full fledged sourcing office in India... quality of products has improved,” he said. While tiles, ceramics and textiles dominate its basket from India, Danube is keen on adding to the list. Towards this, it is working with multiple partners in the country to ensure the product line meets expectations of customers in Dubai, in terms of design, finish and quality.
Mr.Habib was responding to queries at an interaction Danube Group Managing Director Adel Sajan had with media on opening of a new showroom in Hyderabad, its second in the city and in the country. Besides the range of products across categories, the attraction at the new showroom is the Design and Develop service available in-store. The next showroom will be opened in Bengaluru, Mr.Sajan said.